THE PANAMA CONTRACT.

Colonist, Volume VIII, Issue 770, 10 March 1865, Page 3

THE PANAMA CONTRACT.

"We have at length received a reliable account of the contract which has been finally made with Captain Vine Hall on the part of the Panama Company, and which slightly differs from that given in the Wellington papers. The mode in which this sum is to be made up is as follows: The Act of last session authorises the expenditure of the £63,000 named in Mr. Ward's contract; there was an £8000 vote taken for a Sydney boat, which is to be united with this, the Panama boat running on to Sydney. This leaves £19,000; half of which has been guaranteed by Wellington, and the other half it is presumed, after the vote of the Provincial Council last session, will be willingly guaranteed by Canterbury, supposing that the General Assembly decline to vote it. But the main feature of the contract is, that the service is to be increased to a ten knot service for a bonus of £110,000. This will allow Sydney 48 hours for answering letters, and by laying on a fast boat to Melbourne from Wellington, will allow an equal time at that port. It is therefore confidently hoped that both Victoria and New South Wales will rather pay a moderate share of the bonus, now that the contract is actually complete, than see the service stop at NewZealand. It is a very favorable feature that Mr. Cowper who passed the Bill by which Sydney voted £50,000 a year for ten years for a Panama service, has just returned to oflice with a very large majority, and will probably be not unfavorable to aid in realising his old scheme, upon which the Ministry just defeated always threw cold water. Dr. Featherstone, the Superintendent of Wellington, has sailed for Australia, and the result of his mission will be looked to with great interest. At all events, in a very few months, any New Zealand colonist will get his letters from England in 50 days, and may get an answer in the course of four months. For this colony single-handed to have established this new postal service is a thing to be proud of. We believe that advices have been received from England respecting the conditions under which the colonies are to enjoy the Suez route, which render the adoption of the new line far more desirable than was supposed last session.— Canterbury Press.